Commenting on the Monetary Policy Committee (MPC) minutes, published today by the Bank of England, David Kern, Chief Economist at the British Chambers of Commerce (BCC), said: 

 

“The MPC minutes confirm that the decision to persevere with the existing £200bn quantitative easing programme was adopted unanimously. We agree that there is no immediate need to increase the size of the programme.   

“It is disappointing that the MPC has not considered new ways of addressing the persistent weakness in bank lending to business. A cut in the rate of interest paid on commercial bank deposits held with the Bank of England may be worth considering. Without an increase in lending to credit-worthy companies, any upturn in the economy in the New Year is likely to falter.”